up to 1% of a hospital's medicare reimbursement. for example, if a hospital submits a $100,000 bill to medicare, the penalty would reduce the reimbursement to $99,000. in all, the penalized hospitals will forfeit about $290 million in medicare funds over the next year. steven love heads the dallas/fort worth hospital council. he says the penalties are unfair to hospitals that serve primarily low-income populations. >> hospitals that treat people that are in low-income areas in many cases don't have the primary care providers they need in their communities. they may not have the pharmacies they need. and so to coordinate that care outside of the hospital is going to be very difficult. >> reporter: scott, not all hospitals are failing to meet these guidelines and some hospital executive wes spoke to say the initiative is not all bad. in fact, some of those hospitals are developing their own programs to keep people healthier once they do get home and out of the hospital. >> pelley: anna, thanks very much. what's causing the seats to co